Summary
The Financial Policy Committee (FPC) assesses the outlook for financial stability in the United Kingdom by identifying the risks faced by the UK financial system and weighing them against the resilience of the system. By doing so, it assesses the ability of the financial system to continue to provide its core functions to the economy, even under adverse circumstances. Following the global financial crisis, there was a period of heightened risk aversion and retrenchment from risk-taking as financial institutions, businesses and households sought to repair their balance sheets. The FPC judges that the system has now moved out of that period. Household debt has fallen relative to income, but is still elevated, banks are more resilient and credit is generally more available.
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Executive summary
Governor's opening remarks
Press conference transcript
Data from the December 2015 Financial Stability Report
Chart slides and data ZIP file
As a supplement to the December 2015 Financial Stability Report, the FPC has published a document setting out the framework of capital requirements for UK banks.